STRATEGIC HUMAN RESOURCE MANAGEMENT
MANAGMENT 5340
Fall 2007
EXECUTIVE MASTER OF BUSINESS ADMINISTRATION (EMBA)
CHINA
Modern human resource management may be viewed as a process of
acquisition, development, utilization, and maintenance of a human resource mix
(people and positions) to achieve strategic organizational goals and objectives.
The purpose of this course is to provide the student with an understanding of
human resource management from theoretical, practical, and empirical
viewpoints. Material will be presented and discussed from the perspective of the
operating or line manager as well as the human resource specialist. Attention
will be devoted to the various contexts of human resource management, basic
techniques and methods, and the changing nature of managing human
resources. More specifically, our concerns will include human resource and
employment planning, employee recruitment and selection, training and
development, performance planning and evaluation, compensation
administration, organizational career management, structure of the human
resource function, and the strategic role of human resource management.
Objectives of the Course:
During the course, the student will hopefully progress toward attainment of the
following objectives:
1. Become familiar with the human resource management process (or HR
value chain) and its key elements:
a.
b.
c.
d.
Organization and human resource goals and strategies
Human resource planning and analysis
Employee staffing – recruitment and selection
Organizational career management – training, performance
management and evaluation, and rewards/compensation
e. Employee retention and turnover – psychological contract
2. Understand that human resources are an asset (investment) to be
developed rather than a labor cost to be expensed
3. Comprehend the strategic fit of HR and the organization
4. Recognize the applicability of HR practices to organization success
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5. Become acquainted with managerial decision-making through the study of
HR problem situations
6. Develop greater skill in decision-making, particularly in human resource
problem situations through emphasis on:
a.
b.
c.
d.
e.
Observing and becoming sensitive to potential problem situations
Diagnosing problem situations
Identifying and stating a problem(s)
Selecting a course of action from a set of alternative HR solutions
Implementing and monitoring a chosen course of action
7. Develop a personal philosophy of human resource management that will
enable one to perform effectively as a manager
Instructor and Facilitator: David A. Gray, Associate Dean and Professor
College of Business Administration
Contact Information:
Office Hours:
Office 817-272-3387
Fax 817-272-2073
Email gray@uta.edu
Daytime Hours or 8:00 a.m. to 6:00 p.m. weekdays.
Required Text and Study Materials:
A standard text, several HR management cases, and a few exercises will be
used in the course. The following text has been selected:
Jeffrey A. Mello, Strategic Human Resource Management, 2nd edition
(Southwestern-Thomson Learning, 2006). Web site, http://mello.swcollege.com
ISBN: 0-324-29043-8
Several Harvard and Ivey Business School cases will be used; these are
Harvard Business School Cases
Thomas, Groysberg, and Reavis, Sonoco Products (A): Building a World
Class HR Organization (9-405-009)
Holland, The Portman Hotel Company (9-489-104)
Gittell and O’Reilly, JetBlue Airways (9-801-354)
O’Reilly and Caldwell, Cypress Semiconductor (A) (HR – 8A)
Klein and Garvin, PPG: Self-Directed Work Force (9-693-020)
McManess and Sucher, The Ritz-Carlton Hotel Company (9-601-163)
Hardymon and Leamon, The Perfect CEO (9-805-156)
Burton, DeLong, and Lawrence, Morgan Stanley: Becoming a ‘One-Firm’
Firm (9-400-043)
Burton and DeLong, The Firmwide 360° Performance Evaluation Process
at Morgan Stanley (9-498-053)
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Pfeffer, Human Resources at the AES Corporation: The Case of the
Missing Department (HR3)
Harvard cases can be purchased at the educational rate from Harvard Business
School Publishing. Contact information is as follows:
Phone: 1-800-545-7685 or 617-783-7600 (outside U.S. and Canada)
Fax: 617-783-7666
Email: custserv@hbsp.harvard.edu
Web: http://caseclassroom.hbsp.harvard.edu
Mail: Harvard Business School Publishing
60 Harvard Way
Boston, MA 02163
Richard Ivey School of Business, University of Western Ontario
Francesco and Chen, Organizational Transformation in a Taiwanese
Company (9A99C035)
Haywood-Farmer, Note on Case Analysis (9A81L002)
Gleave and Golden, FIVE STAR Beer – Pay for Performance (9A98C004)
Ivey cases can be purchased from Ivey Publishing, Richard Ivey School of
Business. Contact information is as follows:
Phone: 519-661-3208 or (1-800-649-6355 (in Canada and U.S.)
Fax: 519-661-3882
Email: cases@ivey.uwo.ca
Web: http://www.ivey.uwo.ca/cases
Mail: Ivey Publishing
C/o Richard Ivey School of Business
The University of Western Ontario
London, Ontario
Canada NGA 3K7
Additional case, project, exercise, and other materials will be distributed in class.
Course Requirements:
The final course grade will be determined by a weighted average computation of
scores on exams, a pre-class case assignment, a HR value chain analysis
report, and a final exam of case questions. Weights for these items are as
follows:
Case and Text Exams
Pre-class Case Assignment
HR Value Chain Report
Final Exam-Case Question
50 percent
10 percent
20 percent
20 percent
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Fifty percent of one’s course grade will be determined by individual performance
and fifty percent will be determined by group performance. The in class case
exams will be used as measures of individual performance and the final case
exam, HR value chain report, and pre-class case assignment are group projects.
In class case exams will be objective in format and cover cases and related text
chapter material. You may use the textbook and cases during an exam. If you
are absent and miss a case exam, you may substitute case reports (actually,
answers to questions on the case briefing sheets) for the missed exam.
Alternative frameworks for analyzing cases will be discussed; case briefing
sheets can be found in the last several pages of the syllabus. Read A Note on
Case Analysis prior to the first class. The final exam consists of case questions
to be completed on a group basis. The completed final exam must be emailed to
gray@uta.edu no later than October 31, 2007.
The HR value chain analysis report is an individual and group assignment. It
should be based on the HR strategy, policies, programs, practices, and
processes and the business model and strategies of one firm represented in your
group. It may require one or more interviews with the Chief HR Officer, or other
persons with considerable knowledge of the firm’s business strategies and HR
function. If you and your group members do interview an HR official, you can ask
questions (obtain information) that focus on the following:
1. What is the role of the human resource function/department in the firm?
2. To what extent is the human resource staff/department/chief HR officer
involved in strategic organizational decisions?
3. How is performance of the HR function (and chief HR officer) measured?
4. What was the most difficult organization problem faced by the HR
department in the last two or three years? How was it resolved?
5. What are some of the most pressing HR issues faced by the organization
today? Why?
6. What are key HR practices/programs/processes that comprise each link of
the value chain?
7. How do these key practices/programs/processes enhance
individual/organizational performance, strengthen the psychological
contract and to what extent are they aligned with the business model and
key strategies?
8. How can key HR practices be changed/improved?
These last three questions (6, 7, and 8) are the most important in terms of your
group’s analysis and report.
In preparing your analysis and report you can focus on a particular organizational
strategy and trace its impacts/implications through the HR value chain. Assess
the effectiveness of the HR practices along the value chain and indicate the
shared roles of HR professional and line manager. Obtain copies of
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forms/documents such as a job description, employee selection scoring template,
performance evaluation forms, organizational career management or succession
plan, exit interview schedule, and any other item that helps to explain the HR
value chain and employee-employer psychological contract.
The report should be approximately 10-15 pages, exclusive of exhibits, and
presented in a narrative form with headings and sub-headings. The report will be
evaluated primarily in terms of content, but 20 percent of the report score will be
allocated to organization, compositional quality (style, spelling, grammar, and
syntax), and appearance (headings and sub-headings, etc.) The paper should
be submitted no later than November 16, 2007, by email message to
gray@uta.edu. Focus on one firm represented in your group. Most of the report
should be prepared by group members who do not work for this firm. Additional
instructions will be distributed the last day of class.
Class Participation:
Class participation is essential for an effective case learning process. The
course instructor will lead case discussions; students will not be making oral case
presentations. Much of the case discussion will be effected through a question
and answer format. However, for some cases we may use a group exercise or a
debate format. A group vs. group debate can be used to deal with a key
question contained at the end of the Ritz-Carlton Hotel case. A group task will be
used to facilitate our discussion of the Portman Hotel case.
Instructional Format and Methods:
In developing a rich learning environment and approaching the course objectives,
the sessions will follow a format that encourages active participation in
discussing and analyzing HR management concepts and study materials. In
addition to brief lectures, the class will consist of case discussions and
participation in activities such as completing behavioral instruments and
engaging in group decision-making tasks. These instruction methods emphasize
learning through study, practice, and feedback both on an individual basis and in
group or team activities. About 60 percent of class time will be devoted to case
discussions and experiential exercises.
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Classroom Management and Student Conduct
Classes will begin and end at the appointed (or announced) times; short breaks
will be taken in the mornings and afternoons. Each student should prepare a
name card for display using English letters and adopted American first name, if
one is used. Class attendance will be taken once or twice each class day.
Group members should be seated together for ease of discussion and
participation in group exercises. For case exams in class, you must complete the
exam entirely by yourself; you cannot consult with or speak to another student, or
share answers.
Cell phones must be turned off, or set on vibration mode during class. You
cannot talk on a cell phone in class; all of your attention should be directed to the
case discussion, exercise or presentation. Also, laptop computers cannot be
used, except for note taking; there is no need to be connected to the internet,
unless told to do so by the instructor.
References and Periodicals:
The following is a partial list of references and publications available through the
UTA Campus Library and in most cases, directly online. Also, the largest
American professional organization in the HR field is the Society for Human
Resource Management. It has over 150,000 members and can be found at
www.shrm.org. With a membership in SHRM you can access vast amounts of
information about human resource management. HR Magazine is published by
SHRM.
Periodicals
Academy of Management Journal
Academy of Management Review
Academy of Management Executive
Academy of Management Learning & Education
Administrative Science Quarterly
Business Horizons
California Management Review
Compensation Review
Fortune
Harvard Business Review
Human Resource Management
Human Resource Management Review
Human Resource Planning
HR Executive Review, The Conference Board
HR Magazine
Industrial and Labor Relations Review
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International Journal of Human Resource Mgt.
Monthly Labor Review
Organization Dynamics
Personnel Psychology
Sloan Management Review
Strategic Management Journal
Training and Development Journal
The Bureau of National Affairs and Commerce Clearing House publish considerable
material on all aspects of human resource management. These organizations release
HR information on a daily basis through numerous publications that focus on HR
policies and practices, compensation and benefits, safety and health, and many other
areas.
The Wall Street Journal, Financial Times, and Business Week are three excellent
publications for very current business data and information, including human resource
management.
Schedule of Classes, Cases, Text Readings, Quizzes, and Exercises:
The following is a schedule of cases, exams, reading assignments, and exercises.
While efforts will be made by the course instructor to relate text readings, case
discussions, and lectures, the student is ultimately responsible for learning and
integrating the course content and completing course requirements.
The text consists of relatively short, focused chapters and readings (reprinted articles).
The reprinted articles at the ends of chapters are optional reading. Three chapters (2,
7, and 12) are not listed below as these chapters cover material that is somewhat
unique to the United States. If time is available and students are interested in American
employment laws and labor unions, some of the material in these three chapters can be
presented and discussed.
HR in Alignment, HR Heroes, and Fueling the Talent Engine are videos made available
by the SHRM Foundation. There is a case video containing an interview with Cindy
Hartley which will be used with the Sonoco Products case.
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Date
Topic
Text Chapter Case/Exercise/DVD
10-12
Introduction to HR
HR Function and Structure
1
Sonoco Products (Case)
and DVD
HR Value Chain
Business Model/Strategy
3
JetBlue (Case)
Strategic HR
4
Org. Transformation (Case)
HR Heroes (DVD)
Chief HR Officer
HR Planning
Job and Work Design
Staffing: Recruitment and
Selection
5
Job Description (Exercise)
Training and Development
Needs Analysis, Design,
Delivery, and Evaluation
Performance Management
And Evaluation
9
10
Morgan Stanley (2 Cases)
Cypress (Case)
Compensation: Components
Incentives
11
Pay for Performance (Exercise)
Retention and Turnover
International HR
13
14
HR Business Leadership
10-13
10-14
10-15
6
8
Forecasting (Exercise)
Portman Hotel (Case)
Perfect CEO (Case)
PPG: Self-Directed
(Case)
Fueling the Talent Engine (DVD)
Ritz-Carlton (Case)
Five Star Beer (Case)
HR in Alignment (DVD)
AES Corporation
Case-Text-Exam Matrix:
For every case, two or more text chapters are linked to the case for exam purposes
(see matrix below). The cases and text were obviously not developed and written
together; consequently, there are other chapters that may be of some use in
understanding and analyzing the case problem(s). Each exam will focus on the case
and associated text chapters as indicated in the matrix. The first exam will cover
Sonoco, JetBlue, Organizational Transformation, Portman Hotel, and PPG: SelfDirected. Ritz-Carlton, Morgan Stanley, Cypress, Five Star Beer and AES Corporation
are tested for the second exam.
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Case
Sonoco
Jet Blue
Org Transformation
PPG: Self-Directed
Portman Hotel
Ritz-Carlton
Cypress
Morgan Stanley
Five Star Beer
AES Corporation
Text Chapters
1
X
X
3
X
X
4
X
X
5
X
X
6
X
X
X
8
9
X
X
X
X
10
11 13
X
X
X
14
X
X
X
Final Exam:
As indicated earlier, the final exam consists of a set of questions from several of the
cases. The questions are to be answered by group members with answers submitted by
email no later than October 31, 2007.
Case Briefing Sheets:
The last nine pages are briefing sheets for the assigned cases. Each briefing sheet
provides a list of questions which will be answered during case discussions. Briefing
sheet questions for three or four cases will be assigned for completion and submission
prior to the start of class. These questions should be answered as a group, once
groups have been formed. You will receive the questions from the tutor by September
15, or sooner.
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INDIVIDUAL LOG/RECORD OF EVALUATIONS/SCORES
MANAGEMENT 5340
Fall 2007
China
STUDENT __________________________________________________
Case, Exam, Report, etc.
Weight
Score
Pre-class Case Questions
10%
_____
Case Exam One
25%
_____
Case Exam Two
25%
_____
HR Value Chain Report
20%
_____
Final Case Exam
20%
_____
Course Grade (weighted average)
_______________
10
MANAGEMENT 5340
Fall 2007
China
Student/Group Information Sheet
GROUP HR NAME ___________________________________
Member Name
Email Address
1
2
3
4
5
6
11
MANA 5340
SONOCO PRODUCTS COMPANY (A): BUILDING A WORLD-CLASS HR ORGANIZATION
Briefing/Assignment Sheet
(Or questions to organize and guide discussion)
This is an excellent case to examine numerous aspects of a major HR management
change effort in a large commercial enterprise. HR management policies and practices
can be reviewed/examined in light of changing internal and external environmental
conditions.
1. What external (outside environment) and internal (inside the firm) factors or
conditions are indicating (even dictating) HR changes in strategy, structure, and
process (policies and practices)?
2. How do you characterize (describe) the HR roles of Cindy Hartley, in particular
with respect to the roles specified by David Ulrich?
3. Critique (or evaluate) Hartley’s change management strategy in terms of areas of
change, methods to effect change, and results.
4. Two HR structures are proposed at the end of the case. Compare and contrast
the two options. Also, answer the following:
a. Which option makes more sense bearing in mind a changing industry in
which “only the flexible survive”?
b. Which one would better insure the right people were in the right positions?
c. Which options would help the company meet its financial target—
providing annual, double-digit returns for its shareholders?
d. And finally, which option best demonstrates Sonoco’s long-held principle
that “people build businesses”?
12
MANA 5340
JETBLUE AIRWAYS: STARTING FROM SCRATCH
Briefing/Assignment Sheet
(Or questions to organize and guide discussion)
This case is concerned with how an entrepreneurial venture can develop a successful
business model by emphasizing elements that can be a source of competitive
advantage. The challenge faced by JetBlue is to grow the firm and its operations at a
reasonably rapid rate without unduly taxing its various resources and damaging its key
assets. The following questions can be used to frame your analysis and guide class
discussion:
(15) 1. How would you characterize (or describe) the chief HR officer
role of Ann Rhodes in reference to pages 159-160 of the text
and the HR role configuration presented?
(10) 2. If you owned and/or managed a venture capital fund would you
invest in JetBlue? Why or why not?
(20) 3. What are the key features (or potential success factors) of
JetBlue’s business model?
(20) 4. What is your evaluation of the degree of alignment of the
corporate strategy (and business model), HR practices, and
organization values and culture of JetBlue? See pages 86-97
of the Mello text.
(10) 5. Is the objective of remaining union-free realistic and how
important is being non-union to the business model and HR
practices and systems?
(15) 6. Use the model (framework) contained in Chapter 3 of the Mello
text (see page 63, exhibit 3-1) and prepare a brief situational
and strategic analysis. SWOT analysis can be used to do this.
Also, go to the web site of Jet Blue to obtain current
information.
(10) 7. Can a values-based corporate culture develop when top
executives do not see each other on a frequent (everyday)
basis? Why or why not? (see pages 68-81 of text).
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MANA 5340
ORGANIZATIONAL TRANSFORMATION IN A TAIWANESE COMPANY
Briefing/Assignment Sheet
(or questions to organize and guide discussion)
This case provides a context in which to examine the shift from the HR function
being mostly administrative in nature to a business function that is significantly
more strategic. It is also a situation that has individual career implications and
presents aspects of resistance to change. The following questions can direct
your analysis of the situation and can stimulate class discussion.
(25) 1. Do you agree with Eva’s stated five-year objective to make the HR
department spend 50 percent of the time on administration and 50
percent on strategy formulation and implementation? How would you
evaluate her intended change in the role of the HR function? Review
pages 157-173 of the Mello text, especially the role configuration
model on page 159.
(15) 2. What is your opinion of the various new HR systems and practices
that Eva has developed and implemented?
(15) 3. What actions did Eva take to make the introduction of change more
acceptable to managers and employees of the YUAN Group? Could
she have done anything further, or differently?
(15) 4. What can Eva do to make other managers more aware of the growing
global competition and to prepare them to face international
competition in the domestic markets?
(20) 5. How can Eva change the corporate culture from command-control to
customer-driven?
(10) 6. What should Eva do now? How should she answer the questions
she is considering at the end of the case?
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MANA 5340
THE PORTMAN HOTEL COMPANY
Briefing/Assignment Sheet
(Or questions to organize and guide discussion)
This is a complex case that contains information on Portman’s strategy and
business model, HR systems and practices, and the performance of a crucial
group of employees, the personal valets. The plan is not working and
expectations of various internal stakeholders are not being realized. Soon after
the hotel’s grand opening, the situation began to unravel. What went wrong?
What can be done to correct the situation, or what action planning is necessary?
How does Portman make adjustments to facilitate success?
In analyzing Portman make sure you thoroughly understand the design of the
original system(s), or how plans/processes/people were supposed to work. Also,
carefully review the business context (environment) and Portman’s business
model and strategy. Finally, what are the options for improvement?
More specifically, and to assist with your review and analysis, the following
questions should focus your attention:
(10) 1. What is the Portman business model and what was the personal valet
arrangement trying to accomplish?
(30) 2. What are the key features (or elements) of the HR system and how were
they supposed to function? What organization culture value (or attribute)
was being emphasized with each feature? What was the expected
outcome (or goal) of each feature? Finally, what was the outcome/result
associated with each feature/value/goal?
(10) 3. Why isn’t the system working, and what are the problems?
(15) 4. How did the 5-Star system deal with the problems? Did it work, or were
improvements experienced following implementation of 5-Star?
(20) 5. What are various options for system improvement and what steps
(implementation) would you take to bring about improvement?
(15) 6. Analyze the personal valet position using the Hackman/Oldham job
characteristics model. See page 255 of the Mello text.
15
MANA 5340
PPG: DEVELOPING A SELF-DIRECTED WORK FORCE (A)
Briefing/Assignment Sheet
(or questions to organize and guide discussion)
This case deals with a firm that has been pursuing implementation of innovative
work force techniques/methods. As you review case material and proceed with
analysis and determining what to do (1) develop an understanding of a selfdirected work force and why PPG wanted such an arrangement, (2) evaluate
PPG’s approach to employee selection and development, and (3) identify the
underlying tensions at Berea and propose means for relieving these tensions.
More specifically:
(10) 1. What is a self-directed work force and how does it function?
(10) 2. What does management gain (and lose) with a self-directed work force?
(10) 3. What type of employee does this arrangement require? How do you
make sure you get these people? (Review page 251-276 and 343-377 of
the Mello text.)
(10) 4. What type of work (tasks) and task environment would seem to benefit
from a self-directed approach to work force management?
(10) 5. Is the PPG situation appropriate for a self-directed work force
arrangement?
(10) 6. How can PPG exercise control in a self-managed work situation?
(10) 7. What are the underlying tensions and how can they be relieved as PPG
continues to move toward more self-direction by its operators?
(20) 8. Identify production tasks and HR tasks/decisions that could be handled
by PPG self-directed work teams.
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MANA 5340
THE RITZ-CARLTON HOTEL COMPANY
Briefing/Assignment Sheet
(or questions to organize and guide discussion)
This case deals with a situation in which a very successful training and hotel
opening process are being seriously challenged by a real estate development
group, or the owners of a new Ritz-Carlton facility. Essentially, the case
discussion and analysis will examine how a successful service operating system
is developed and to explore the question of when and how it should be changed.
Specific questions for discussion are as follows:
(10) 1. What are the basic characteristics or key principles of the Ritz-Carlton
business model?
(10) 2. What is the essence of the Ritz-Carlton experience? What is the
Ritz-Carlton selling?
(20) 3. How does the Ritz-Carlton create “Ladies and Gentlemen” in only 7
days? What systems and processes produce (or contribute to) a
successful service operating system in just seven days? Review
pages 401-442 of Mello for information about how training and
development can help a firm gain a competitive advantage.
(20) 4. Brian Collins, hotel owner, has asked James McBride, Ritz-Carlton
general manager, to lengthen the amount of time spent training hotel
employees before the hotel opening. Should McBride lengthen the 7
Day Countdown? Why or why not? Or, what are the benefits and
costs of extending the countdown?
(20) 5. Assume Collins prevails, how do you extend training or what changes
might be made to accommodate a much faster ramp-up to the 80%
occupancy level?
(20) 6. Or, is this the time that McBride should consider a total overhaul of
the hotel opening process? If yes, what should be changed, and how
should he go about doing it? What’s different about experimenting in
a service business?
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MANA 5340
CYPRESS SEMICONDUCTOR (A): VISION, VALUES, AND KILLER SOFTWARE
Briefing/Assignment Sheet
(or questions to organize and guide discussion)
This case illustrates and highlights several management and organization themes,
including the leadership of T.J. Rogers. Our discussion will examine HR practices,
corporate mission and strategy, and critical success factors. Some questions for review
and discussion are as follows:
(15) 1. How would you describe the Cypress business model and the firm’s mission
and strategies? How did the business model change in the early 1990s?
(10) 2. What are the values that T.J. Rogers has imprinted on the organization?
How would you characterize his leadership style and behavior.
(10) 3. Are the vision, core values, and systems congruent with success?
(20) 4. Will the goals and performance management system produce the desired
results, both in the short and long run? Why or why not? Alternatively,
would you expect any dysfunctional consequences to develop from the
goals and performance management system?
(10) 5. Could Cypress adopt a 360° performance management and feedback
system? Why or why not? Review pages 463-471 of the Mello text for
information about 360° systems.
(15) 6. Do the HR systems/practices fit the culture of Cypress and the employee
performance expectations of Rogers? Explain.
(20) 7. How closely are HR systems/practices aligned with the initial business
model? Is alignment maintained with the changed business model of the
early to mid 1990s?
18
MANA 5340
MORGAN STANLEY: BECOMING A “ONE-FIRM FIRM”
AND
THE FIRMWIDE 360° PERFORMANCE EVALUATION PROCESS AT MORGAN STANLEY
Briefing/Assignment Sheet
(or questions to organize and guide discussion)
Together these two cases track various changes initiated by John Mack to transform the
culture and performance evaluation system in Morgan Stanley. Read Morgan Stanley:
Becoming a ‘One-Firm’ firm first and then read The Firmwide 360° Performance Evaluation
Process at Morgan Stanley.
(10) 1. What are the challenges facing Morgan Stanley as John Mack assumes a leadership
role?
(15) 2. Assess John Mack’s vision for Morgan Stanley. What are the key elements? How
different is it from the way the firm has historically operated?
(10) 3. How effective has John Mack been as a leader of the change initiative? What are his
strengths?
(15) 4. Evaluate the change strategy and steps taken to date. How effective have they been?
What else must be done to ensure a successful transformation?
(20) 5. A key component of the change initiative is revamping the performance appraisal
system. What were the problems with the existing system? What are the goals of the
new system? To what extent is the new performance appraisal system aligned with the
vision and strategy? Review chapter 10 for details of a performance management and
evaluation system.
(10) 6. What is your assessment of the new performance evaluation process at Morgan
Stanley?
(10) 7. In what ways will it enhance or detract from the firm’s strategic objectives?
(10) 8. Does it meet the objectives and expectations specified by the design task force?
19
MANA 5340
FIVE STAR BEER – PAY FOR PERFORMANCE
Briefing/Assignment Sheet
(or questions to organize and guide discussion)
Like other cases assigned for this course, Five Star focuses on change for
performance improvement. More specifically, this case is concerned with the
linkage between compensation practices and performance improvements for
enhancing profitability.
(25) 1. Assess the organizational design of Five Star. In developing your
assessment, consider the strategic, structural, human resource and
tasks elements at play, particularly as they relate to Zhao’s
performance-based compensation systems.
(25) 2. Analyze Zhao’s “bonus” compensation systems in detail. What likely
impact will these systems have on quality at Five Star? What impact
will they have on the sales force?
(20) 3. As Tom McMullen, what suggestions would you give Mr. Zhao on
how to improve these systems? What organization design changes
can realistically be made that will enhance quality and promote the
acceptance of the systems? How would you implement these
changes?
(15) 4. As an outside consultant to McMullen and Zhao, what would you
recommend they do to change Five Star’s culture from a “volume
culture” to a “quality and profitability culture”?
(15) 5. How does the concept of “equity” enter into performance-based
compensation at Five Star? Review chapter 11 for a detailed
presentation of equity.
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MANAGEMENT 5340
HUMAN RESOURCES at the AES CORPORATION
Briefing/ Assignment Sheet
(or questions to organize and guide discussion)
AES is an extremely interesting company in terms of its culture and management of
human resources, although AES corporate leaders do not like to use the term human
resources. At the time the case was written, the firm had experienced considerable
growth and its prospects for future growth through internal means and acquisitions was
very positive. The corporate founders and top executives claim the firm has no HR
department and that this is a strength. The following questions address this claim.
1. What is the business model of AES and/or what is its core corporate strategy?
2. AES has no formal HR department and appears not to have any formal HR
policies, programs, and practices. However, the HR function does exist and HR
tasks, activities, and decisions are performed/ made. Using the HR value chain
as a means for examining the HR management process (a) identify who
performs each HR task/activity/decision; (b)explain how each HR task/activity/
decision is performed/accomplished; and (c) indicate the result of each HR task/
activity/decision. Early in your response, articulate the firm’s HR philosophy and
basic HR strategy.
3. AES has power plants and distribution systems in 16 countries. At the time the
case was prepared AES did operate a plant in China. Given the existence, or
lack thereof, of a HR function in AES as described in the case, can AES operate
in China as it has in other countries? Take each aspect of the HR management
process/valu chain and indicate whether the AES approach will work, explain
why or why not. If you think something should be modified, explain your
modification.
4. AES has operations in many countries around the world and it follows/utilizes the
same HR management process. Explain why and how a company could be
successful doing this across so many different cultures and languages.
5. AES has grown dramatically. Assume it will continue to grow, but probably at a
somewhat slower pace. While most, if not all, metrics indicate the firm is effective
in terms of HR management, efficiency (or scale economy) of HR programs,
processes and practices may emerge as a significant issue in the future. What
aspects of the HR management process/value chain could be targeted for
developing more efficient processes/practices and how could things be changed
to achieve increased efficiencies? Also, what argument(s) would you present to
the founders and executives that these changes would be beneficial?
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Academic Dishonesty
All students are expected to pursue their academic careers with honesty and integrity. Academic
dishonesty includes, but not limited to, cheating, plagiarism, and collusion on an examination or
an assignment being offered for credit. Each student is accountable for work submitted for credit,
including group projects. Students found responsible for dishonesty in their academic pursuits are
subject to penalties that may range from disciplinary probation, suspension or expulsion from the
University.
1. cheating on an examination or an assignment includes:
a. copying the work of another, allowing someone to copy,
engaging in written, oral or any other means of communication
with another, or giving aid to or seeking aid from another when
not permitted by the instructor;
b. using material during an examination or when completing an
assignment that is not authorized by the person giving the
examination or making the work assignment, including, but not
limited to, electronic or digital devices such as calculators, cell
phones, camera phones, scanner pens, palms, or flash drives,
etc.;
c. taking or attempting to take an examination for another, or
allowing another to take or attempt to take an examination for a
student;
d. using, obtaining, or attempting to obtain by any means, the whole
or any part of an examination or work assignment that is not
provided for your use by your instructor;
e. any act designed to give unfair advantage to a student or the
attempt to commit such an act;
2. plagiarism means the unacknowledged incorporation of the work of
another in work that is offered for credit;
3. collusion means the unauthorized collaboration with another in
preparing work that is offered for credit;
In accordance with the Rules and Regulations of the Board of Regents of The University of Texas
System (Part One, Chapter VI), institutional procedures regarding allegations of academic
dishonesty are outlined in Part Two, Chapter 2, of the U.T. Arlington Handbook of Operating
Procedures. This information may be obtained by accessing the Dean of Students' Web site at
www.uta.edu/studentaffairs/dos
or
the
Student
Judicial
Affairs'
Web
site
at
www.uta.edu/studentaffairs/judicial affairs. Copies of each regulation can be obtained in the Dean
of Students' Office on the lower level of the University Center.
I have read and understand the above and I accept personal responsibility
thereto.
___________________________________
Signature of Student
_________________________
Date
22
Attendance Policy
Due to the intensity and uniqueness of the EMBA program, perfect and punctual
attendance are very crucial to students’ learning in the class. Students are
expected to be present for all classes and no absence, for whatever reason, will
be automatically excused. Missing merely a day in one of the courses of this
program can be equated to missing at least a fourth of the class sessions in a
regular long semester course. Therefore, the issue of absenteeism is taken very
seriously.
All instructors will specify grading policies and attendance in their course syllabi,
which may include a grade penalty or removal of the student from the course for
excessive absences. Reasons for absence due to illness and other
circumstances must be communicated by the student to the instructor of the
course. Any decision to allow make-up work will be made by each instructor in
accordance with each instructor’s attendance policy.
It is the student’s responsibility to be in his/her seat at class time to be counted
present. Attendance will be taken at least two times each class day by the
instructor or a local support person. Absences, other than those with prior
approval, will be considered for denial or approval at the instructor’s discretion.
If students know in advance that they will be missing any part of the class, they
must contact the instructor or the local support staff immediately. If a student will
be absent for:
1. More than 40% of the entire course, he/she will be required to re-take the
ENTIRE course in the future. Any work accomplished prior to absenteeism
will not be recorded or applied towards the future classes.
2. For absence less than or equal to 40% of the lecture time, it will be the
instructors’ discretion to decide on what actions will be taken. The student
is responsible for finding out from the instructor what penalty, if any, will be
assessed for missing any portion of a class session.
Students may receive a grade of “F” in the course if they are absent
without an acceptable excuse for more than 40% of the entire course.
I have read and understand the above and I accept personal
responsibility thereto.
____________________________
Signature of Student
_________________________
Date
23